Fox Entertainment President: Kevin Reilly SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
Leadership & Managing People
Strategy / MBA Resources
Case Study SWOT Analysis Solution
Case Study Description of Fox Entertainment President: Kevin Reilly
Kevin Reilly, at forty-six years old, had one of his first television executive experiences in the drama department at NBC, hada??like many othersa??experienced his fair share of drama. What he described as the "three toughest years of my career" were at NBC when he served as entertainment president from 2003 to 2007. Reilly had re-joined NBC, after having originally worked his way up the executive ladder there from 1988 to 1994. He joined the second time around, just as NBC- which had a record ratings and profit run in the mid-90's to 2001-had begun a downward spiral brought about by a long development drought. In a little over a month, Reilly became the President of Entertainment at the top-rated Fox network. Fox Entertainment Chairman Peter Liguori, Reilly's former boss at the FX Network (a Fox-owned cable network), approached Reilly about the prospect of gaining a chance to "do over" his experience at NBC. Reilly had worked with Liguori at FX (from 2000 to 2003), where Liguori had been chairman and Reilly entertainment president. This time around, Liguori hired Reilly to oversee all programming responsibilities for FOX Broadcasting Company. Reilly started at Fox in July 2007 but nearly four months later, he faced a writers' strike, which hobbled the entertainment industry for most of the year, ending just as the nascent signs of the severe economic downturn had already begun to taken shape. Despite such challenges, Reilly pushed forward, doing what he had done throughout his career, which was to challenge the system, question convention, and find and develop hit shows that appealed to general audiences and critics alike.
Authors :: Victoria Chang, Bill Guttentag, Rod Kramer
Swot Analysis of "Fox Entertainment President: Kevin Reilly" written by Victoria Chang, Bill Guttentag, Rod Kramer includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Reilly Liguori facing as an external strategic factors. Some of the topics covered in Fox Entertainment President: Kevin Reilly case study are - Strategic Management Strategies, and Leadership & Managing People.
Some of the macro environment factors that can be used to understand the Fox Entertainment President: Kevin Reilly casestudy better are - – banking and financial system is disrupted by Bitcoin and other crypto currencies, increasing energy prices, cloud computing is disrupting traditional business models, increasing inequality as vast percentage of new income is going to the top 1%, central banks are concerned over increasing inflation, increasing commodity prices, there is increasing trade war between United States & China,
competitive advantages are harder to sustain because of technology dispersion, wage bills are increasing, etc
Introduction to SWOT Analysis of Fox Entertainment President: Kevin Reilly
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Fox Entertainment President: Kevin Reilly case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Reilly Liguori, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Reilly Liguori operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of Fox Entertainment President: Kevin Reilly can be done for the following purposes –
1. Strategic planning using facts provided in Fox Entertainment President: Kevin Reilly case study
2. Improving business portfolio management of Reilly Liguori
3. Assessing feasibility of the new initiative in Leadership & Managing People field.
4. Making a Leadership & Managing People topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Reilly Liguori
Strengths Fox Entertainment President: Kevin Reilly | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Reilly Liguori in Fox Entertainment President: Kevin Reilly Harvard Business Review case study are -
Digital Transformation in Leadership & Managing People segment
- digital transformation varies from industry to industry. For Reilly Liguori digital transformation journey comprises differing goals based on market maturity, customer technology acceptance, and organizational culture. Reilly Liguori has successfully integrated the four key components of digital transformation – digital integration in processes, digital integration in marketing and customer relationship management, digital integration into the value chain, and using technology to explore new products and market opportunities.
Sustainable margins compare to other players in Leadership & Managing People industry
– Fox Entertainment President: Kevin Reilly firm has clearly differentiated products in the market place. This has enabled Reilly Liguori to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Reilly Liguori to invest into research and development (R&D) and innovation.
Highly skilled collaborators
– Reilly Liguori has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Fox Entertainment President: Kevin Reilly HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Successful track record of launching new products
– Reilly Liguori has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Reilly Liguori has effective processes in place that helps in exploring new product needs, doing quick pilot testing, and then launching the products quickly using its extensive distribution network.
Organizational Resilience of Reilly Liguori
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Reilly Liguori does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
Strong track record of project management
– Reilly Liguori is known for sticking to its project targets. This enables the firm to manage – time, project costs, and have sustainable margins on the projects.
Low bargaining power of suppliers
– Suppliers of Reilly Liguori in the sector have low bargaining power. Fox Entertainment President: Kevin Reilly has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Reilly Liguori to manage not only supply disruptions but also source products at highly competitive prices.
High switching costs
– The high switching costs that Reilly Liguori has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
High brand equity
– Reilly Liguori has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Reilly Liguori to keep acquiring new customers and building profitable relationship with both the new and loyal customers.
Ability to recruit top talent
– Reilly Liguori is one of the leading recruiters in the industry. Managers in the Fox Entertainment President: Kevin Reilly are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.
Analytics focus
– Reilly Liguori is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Victoria Chang, Bill Guttentag, Rod Kramer can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Superior customer experience
– The customer experience strategy of Reilly Liguori in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Weaknesses Fox Entertainment President: Kevin Reilly | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of Fox Entertainment President: Kevin Reilly are -
High cash cycle compare to competitors
Reilly Liguori has a high cash cycle compare to other players in the industry. It needs to shorten the cash cycle by 12% to be more competitive in the marketplace, reduce inventory costs, and be more profitable.
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of Reilly Liguori supply chain. Even after few cautionary changes mentioned in the HBR case study - Fox Entertainment President: Kevin Reilly, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Reilly Liguori vulnerable to further global disruptions in South East Asia.
Need for greater diversity
– Reilly Liguori has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
Slow decision making process
– As mentioned earlier in the report, Reilly Liguori has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Reilly Liguori even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
Products dominated business model
– Even though Reilly Liguori has some of the most successful products in the industry, this business model has made each new product launch extremely critical for continuous financial growth of the organization. firm in the HBR case study - Fox Entertainment President: Kevin Reilly should strive to include more intangible value offerings along with its core products and services.
No frontier risks strategy
– After analyzing the HBR case study Fox Entertainment President: Kevin Reilly, it seems that company is thinking about the frontier risks that can impact Leadership & Managing People strategy. But it has very little resources allocation to manage the risks emerging from events such as natural disasters, climate change, melting of permafrost, tacking the rise of artificial intelligence, opportunities and threats emerging from commercialization of space etc.
Capital Spending Reduction
– Even during the low interest decade, Reilly Liguori has not been able to do capital spending to the tune of the competition. This has resulted into fewer innovations and company facing stiff competition from both existing competitors and new entrants who are disrupting the industry using digital technology.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study Fox Entertainment President: Kevin Reilly, is just above the industry average. Reilly Liguori needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
High operating costs
– Compare to the competitors, firm in the HBR case study Fox Entertainment President: Kevin Reilly has high operating costs in the. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Reilly Liguori 's lucrative customers.
Increasing silos among functional specialists
– The organizational structure of Reilly Liguori is dominated by functional specialists. It is not different from other players in the Leadership & Managing People segment. Reilly Liguori needs to de-silo the office environment to harness the true potential of its workforce. Secondly the de-silo will also help Reilly Liguori to focus more on services rather than just following the product oriented approach.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study Fox Entertainment President: Kevin Reilly, it seems that the employees of Reilly Liguori don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
Opportunities Fox Entertainment President: Kevin Reilly | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study Fox Entertainment President: Kevin Reilly are -
Leveraging digital technologies
– Reilly Liguori can leverage digital technologies such as artificial intelligence and machine learning to automate the production process, customer analytics to get better insights into consumer behavior, realtime digital dashboards to get better sales tracking, logistics and transportation, product tracking, etc.
Manufacturing automation
– Reilly Liguori can use the latest technology developments to improve its manufacturing and designing process in Leadership & Managing People segment. It can use CAD and 3D printing to build a quick prototype and pilot testing products. It can leverage automation using machine learning and artificial intelligence to do faster production at lowers costs, and it can leverage the growth in satellite and tracking technologies to improve inventory management, transportation, and shipping.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Reilly Liguori can use these opportunities to build new business models that can help the communities that Reilly Liguori operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.
Learning at scale
– Online learning technologies has now opened space for Reilly Liguori to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Using analytics as competitive advantage
– Reilly Liguori has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Fox Entertainment President: Kevin Reilly - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Reilly Liguori to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Reilly Liguori in the consumer business. Now Reilly Liguori can target international markets with far fewer capital restrictions requirements than the existing system.
Redefining models of collaboration and team work
– As explained in the weaknesses section, Reilly Liguori is facing challenges because of the dominance of functional experts in the organization. Fox Entertainment President: Kevin Reilly case study suggests that firm can utilize new technology to build more coordinated teams and streamline operations and communications using tools such as CAD, Zoom, etc.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Leadership & Managing People industry, but it has also influenced the consumer preferences. Reilly Liguori can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Loyalty marketing
– Reilly Liguori has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.
Building a culture of innovation
– managers at Reilly Liguori can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Leadership & Managing People segment.
Better consumer reach
– The expansion of the 5G network will help Reilly Liguori to increase its market reach. Reilly Liguori will be able to reach out to new customers. Secondly 5G will also provide technology framework to build new tools and products that can help more immersive consumer experience and faster consumer journey.
Buying journey improvements
– Reilly Liguori can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Fox Entertainment President: Kevin Reilly suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Leadership & Managing People industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Reilly Liguori can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. Reilly Liguori can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Threats Fox Entertainment President: Kevin Reilly External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study Fox Entertainment President: Kevin Reilly are -
Regulatory challenges
– Reilly Liguori needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Leadership & Managing People industry regulations.
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Reilly Liguori needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.
Consumer confidence and its impact on Reilly Liguori demand
– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.
Instability in the European markets
– European Union markets are facing three big challenges post Covid – expanded balance sheets, Brexit related business disruption, and aggressive Russia looking to distract the existing security mechanism. Reilly Liguori will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.
Technology disruption because of hacks, piracy etc
– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.
High dependence on third party suppliers
– Reilly Liguori high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Reilly Liguori in the Leadership & Managing People sector and impact the bottomline of the organization.
Shortening product life cycle
– it is one of the major threat that Reilly Liguori is facing in Leadership & Managing People sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
Learning curve for new practices
– As the technology based on artificial intelligence and machine learning platform is getting complex, as highlighted in case study Fox Entertainment President: Kevin Reilly, Reilly Liguori may face longer learning curve for training and development of existing employees. This can open space for more nimble competitors in the field of Leadership & Managing People .
Environmental challenges
– Reilly Liguori needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. Reilly Liguori can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Reilly Liguori.
Increasing wage structure of Reilly Liguori
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Reilly Liguori.
Weighted SWOT Analysis of Fox Entertainment President: Kevin Reilly Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study Fox Entertainment President: Kevin Reilly needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study Fox Entertainment President: Kevin Reilly is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study Fox Entertainment President: Kevin Reilly is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of Fox Entertainment President: Kevin Reilly is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that Reilly Liguori needs to make to build a sustainable competitive advantage.
